Refund after payment in Independent Guarantee

Author(s):
Abstract:
In Independent Guarantees, like accessory guarantees, guarantor can refer to the account party for refund of the payment. In international trade, especially in transactions between countries with different legal systems and weak existing security and reliance between parties, beneficiary tries to prevent the payment of the guarantee by obvious abuse of right. Since he truly believes that in case of payment, is not easily refundable; even in case of successful reclamation, it is time consuming and of course, expensive. Study of the cases of French courts demonstrates that abusive request of guarantee and account party's endeavor in order to stop paying the amount, occurs mainly in international guarantees. This case is unusual in internal guarantees since first, refund is easy and fast and second, if the abusive request is proved, beneficiary would be responsible for a considerable damage to the account party. In our country, the principle of Independence is not applied properly and the compensation system is not efficient. So, for the account party, it is less expensive try not to pay the guarantee. The current research intends to review different ways for referring to the account party and beneficiary by the guarantor after payment.
Language:
Persian
Published:
Journal of Banking Law, Volume:1 Issue: 2, 2014
Page:
1
https://magiran.com/p1289774  
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